Competitive aggressiveness is analyzed in a simple spatial competition model, where each one of two firms supplies two … controlled by each firm through its manager hiring decision, in a preliminary stage of a delegation game. When competition is … exogenously intensified, through higher product substitutability or through larger relative size of the contested market segment …

consumers. The regulator designs a mechanism that guarantees financing of the essential input and adequate competition in the … competitor may stay out of the market or a less efficient competitor may enter the market. …

There is a general presumption that competition is a good thing. In this paper we show that competition in the … competition if and only if competition leads to market unravelling. When there are a continuum of types the efficiency of … competition is less trivial. In effect monopoly is shown to provide better insurance but at the cost of driving out some agents …

Both product differentiation through quality and capacity commitment have been shown to relax price competition …